SE Asia Stocks-Fall sharply on U.S.-China trade war worries

4 Min Read

* Asian shares ex-Japan dip 2.4 pct, steepest drop in 1-1/2
mths
* Philippines falls 2 pct, headed for 5th straight losing
week
* Vietnam falls from record, set for first losing session in
ten
* Singapore sheds as much as 2.1 pct
By Aaron Saldanha
March 23 (Reuters) - Southeast Asian stock markets fell
sharply on Friday as U.S. President Donald Trump unveiled a plan
to impose tariffs on Chinese goods, bringing the two countries
closer to a trade war and unnerving investors across the globe.
China urged the United States to "pull back from the brink",
saying Beijing was not afraid to engage in a trade war should
the case arise.
The escalating tensions took a toll on broader Asian shares
, which weakened as much as 2.4 percent, the
steepest decline in a month-and-a-half.
"Hopefully... some agreement is reached between them in the
next couple of weeks," said Manny Cruz, an analyst with Asiasec
Equities Inc in Makati City.
Singapore shares shed as much as 2.1 percent on
broad-based losses, with United Overseas Bank Ltd
dropping 2.8 percent.
Indonesian shares dipped as much as 2.7 percent,
with financials and consumer staples weighing on the benchmark
the most.
The index of the country's 45 most liquid stocks
was as much as 3.4 percent lower.
Indonesia should be hardest hit in the region in the event
of a trade war due to the export-reliant nature of its economy,
said Asiasec Equities analyst Cruz.
The bearish sentiment carried across the Strait of Malacca
to Malaysia, where shares lost as much as 1 percent, as
financials and telecom services weighed. Genting Bhd
fell 1.8 percent.
Vietnam shares retreated from an all-time peak set on
Thursday, shedding as much as 2.5 percent. The benchmark was on
track to snap a nine-session winning streak.
Joint Stock Commercial Bank for Foreign Trade of Viet Nam
lost as much as 4.9 percent.
Philippine shares fell below the 8,000 mark for a
second time this week, with financials and industrials leading
the losses. The index fell as much as 2.1 percent, wiping off
most of the 2.7 percent gain in the previous session.
Philippine index has lost about 3.3 percent this week,
setting it on course for a fifth straight week of losses.
Heavyweight SM Investments Corp fell 3.7 percent
while Ayala Land Inc was down 3.3 percent.
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SOUTHEAST ASIAN STOCK MARKETS: Change as at 0330 GMT
Market Current Previous close Pct
Move
Singapore 3424.95 3491.37 -1.90
Bangkok 1789.68 1798.55 -0.49
Manila 7950.92 8124.45 -2.14
Jakarta 6138.933 6254.074 -1.84
Kuala Lumpur 1862.49 1876.87 -0.77
Ho Chi Minh 1155.84 1172.36 -1.41
Change so far in 2018
Market Current End 2017 Pct
Move
Singapore 3424.95 3402.92 0.65
Bangkok 1789.68 1753.71 2.05
Manila 7950.92 8558.42 -7.10
Jakarta 6138.933 6355.654 -3.41
Kuala Lumpur 1862.49 1796.81 3.66
Ho Chi Minh 1155.84 984.24 17.43
(Reporting by Aaron Saldanha, Additional reporting by Saif
Naqvi in Bengaluru; Editing by Amrutha Gayathri)